# USD/CNY & USD/CNH jump as PBoC cuts FX RRR to zero, cooling yuan gains

> The PBOC will cut its FX risk reserve ratio for forward FX sales to 0% from 20%, effective March 2, reversing a September 2022 tightening. USD/CNH jumped 0.3% to 6.8599 after the announcement, as the move was seen as a step to slow recent yuan strength.

- Date: 2026-02-27 · published 2026-02-27T12:00:00.000Z
- Category: policy · region China · magnitude low
- Page: https://feedsoft.ai/events/20790-usd-cny-and-usd-cnh-jump-as-pboc-cuts-fx-rrr-to-zero-cooling-yuan-gains
- Commodities: [Chinese Yuan (CNY per USD)](https://feedsoft.ai/c/USDCNY.md)

## Why it matters

Lowering the cost of buying dollars via forwards is intended to temper yuan appreciation, which could make Chinese import purchases of US commodities marginally more expensive in yuan terms over time, though the price impact is limited.

## Read by commodity

- USDCNY: bullish ▲

## Similar past events

| Commodity | Date | Event | 5-day % | 20-day % |
| --- | --- | --- | --- | --- |
| USDCNY | 2020-07-03 | [Chinese yuan weakens to 7.0638 against USD Friday_Xinhua Finance Agency](https://feedsoft.ai/events/9736-chinese-yuan-weakens-to-7-0638-against-usd-friday-xinhua-finance-agency.md) | -0.9% | -1.3% |
| USDCNY | 2026-02-27 | [Yuan Snaps Rising Streak After China Cuts Cost to Short Currency - Bloomberg](https://feedsoft.ai/events/7897-yuan-snaps-rising-streak-after-china-cuts-cost-to-short-currency-bloomberg.md) | +0.7% | +1.0% |
| USDCNY | 2025-05-08 | [China’s yuan slips as PBOC guides currency lower - Markets - Business Recorder](https://feedsoft.ai/events/9620-china-s-yuan-slips-as-pboc-guides-currency-lower-markets-business-recorder.md) | -0.2% | -0.7% |
| USDCNY | 2021-12-10 | [FX Daily: PBOC back in the (FX) game \| articles \| ING THINK](https://feedsoft.ai/events/11299-fx-daily-pboc-back-in-the-fx-game-articles-ing-think.md) | -0.2% | -0.0% |
| USDCNY | 2020-07-03 | [PBOC Softens Yuan-Dollar Central Parity Rate by 72 Bips to 7.0638](https://feedsoft.ai/events/9735-pboc-softens-yuan-dollar-central-parity-rate-by-72-bips-to-7-0638.md) | -0.9% | -1.3% |

## Sources

- investinglive.com: https://investinglive.com/centralbank/usdcny-usdcnh-jump-as-pboc-cuts-fx-rrr-to-zero-cooling-yuan-gains-20260227/

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Data from Feedsoft AI (https://feedsoft.ai/). For information only; not investment advice.